UPM Annual Report 2025

We are UPM

Governance

Accounts and performance

Financial Statements

Report of the Board of Directors

Sustainability Statement

Auditor's Report

Sustainability Assurance Reports

Consolidated income statement and statement of comprehensive income

260 261 262 263 265 298 298 301

Consolidated balance sheet

Consolidated statement of changes in equity

Consolidated cash flow statement

Financial Statements 2025

Notes to the consolidated financial statements

1. Basis for reporting 1.1 Corporate information 1.2 Basis of preparation 1.3 Consolidation principles 1.4 Foreign currency translation 1.5 Changes in accounting policies

266 5. Capital structure 266 5.1 Capital management

266 5.2 Net debt

267 5.3 Financial assets and liabilities by category 307

267 5.4 Financial income and expenses 268 5.5 Share capital and reserves

310 311

2. Business performance

269 6. Risk management

313 313 315

2.1 Business areas

269 6.1 Financial risk management

2.2 Sales

274 6.2 Derivatives and hedge accounting

2.3 Operating expenses and other operating income

276

278 7. Income tax

319 319 320 322 322 323 325 325 326 326 326 326

2.4 Earnings per share and dividend

7.1 Tax on profit for the year

3. Employee rewards 3.1 Employee costs

279 7.2 Deferred tax

279

279 8. Group structure

3.2 Key management personnel 3.3 Share-based payments 3.4 Retirement benefit obligations

281 8.1 Business acquisitions and disposals 283 8.2 Principal subsidiaries and joint operations

8.3 Related party transactions

4. Capital employed

286 8.4 Assets held for sale

4.1 Property, plant and equipment

287

289 9. Unrecognized items

4.2 Forest assets

4.3 Financial assets at FVOCI

290 9.1 Commitments and contingencies

4.4 Goodwill and other intangible assets

292 9.2 Litigation

4.5 Provisions

294 9.3 Events after balance sheet date

4.6 Working capital

296

10. Other notes

327 327

10.1 Forthcoming accounting policy changes

10.2 Forthcoming new standards, amendments and other accounting policy changes

328

Parent company accounts

329

UPM Financial Report 2025

259

258

259

UPM Annual Report 2025

UPM Annual Report 2025